Base Network Surpasses Solana in Token Launches for the First Time

The Coinbase-backed Layer 2 network, Base, has outpaced Solana in the number of tokens created daily. This milestone was first reached on July 27, as reported by The Block.

On that day, Base saw the creation of 54,341 new coins, compared to Solana’s 25,460. Last month, the daily launches on the Layer 2 network surged from 6,649 to over 50,000. The primary driver of this growth was the integration of decentralized networks Zora and Farcaster into the Base App.

Zora transforms each Farcaster post into an ERC-20 token with liquidity on Uniswap. Authors receive 1% of the trading fees in ZORA. The Web3 social network enhances user engagement through the distribution of tokenized content.

As of August 2, Zora accounted for 64.6% of the total launches in the Base and Solana networks. On that day, 39,778 new coins were created on the platform, while Pump.fun and LetsBonk saw only 15,132.

Decline in Activity on Solana

Trading activity on leading platforms within the Solana ecosystem has been declining since the beginning of August. In July, Pump.fun had 346,000 users trading with a volume of $337 million, but by the time of writing, these figures had dropped to 129,000 and $150 million, respectively.

A similar trend was observed on the LetsBonk platform. The number of active traders increased from 208,000 to 260,000, but trading volume fell from $518 million to $242 million.

According to DeFi Llama, Pump.fun also faced a decline in revenues. By the end of July, the platform’s revenue was $24.96 million, 80% lower than the January peak of $130 million.

The decline in activity is linked to the overall market dynamics of meme coins. According to CoinMarketCap, the market capitalization has dropped by 15% to $70.8 billion in the past week alone. During the same period, trading volume in the sector fell by 53% to $5.4 billion.

Back in July, Solana co-founder Anatoly Yakovenko described meme coins and NFTs as “digital junk.”